He said Wakaf Selangor Muamalat currently has total funds of RM1.08 million which was contributed by Bank Muamalat and collection from its employees, in conjunction with the launch of the service by Sultan of Selangor, Sultan Sharafuddin Idris Shah today.

Wakaf Selangor Muamalat is another service by the bank and is 70 per cent controlled by DRB-Hicom group with the collaboration of Perbadanan Wakaf Selangor (PWS), with the objective of collecting contribution from the public and the bank's customers.

The wakaf funds collected by Bank Muamalat will be managed by a Joint Management Committee, Dana Wakaf Selangor, made up of representatives from PWS and the bank, and chaired by Tan Sri Dr Abdul Rahman Arshad.

Mohd Redza Shah told a media conference later that the joint management committee will meet in two weeks to discuss the fund's management and investment.

He said about 40 per cent of the funds would be re-invested to generate returns while another 30 per cent would be distributed to charity in education and healthcare, which include building religious schools and clinics, procure medical supplies and to finance medical costs.

Earlier in his speech, Bank Muamalat chairman Tan Sri Dr Mohd Munir Abdul Majid said the bank had decided that the Wakaf Selangor Muamalat service will be implemented free-of-charge for customers as part of the bank's corporate social responsibility.

He said the potential for wakaf or zakat collection have not been fully exploited for the well-being of Muslims, and Selangor is the first state to collaborate with Bank Muamalat in the collection and management of wakaf fund.

At the ceremony, the Sultan of Selangor witnessed the signing of the collaboration agreement for the service between Bank Muamalat and PWS.

Mohd Redza Shah signed on behalf of Bank Muamalat while PWS was represented by its chief executive officer Abu Bakar Yang.

The Sultan also consented to accept a RM4 million special wakaf contribution from DRB-Hicom group and RM3 million from I&P group.

Sultan Sharafuddin also presented a RM4.5 million cheque as wakaf for the construction of a mosque in Kampung Melayu Rasa in Hulu Selangor.

Starting April the banks have imposed a 50 sen processing fee on top of the 15 sen stamp duty on each cheque. The fee also applies to those applying for a Bankerís Cheque, Bank Draft and Cashierís Order. Do you think this additional charge is justified?